Bartoletti fabrication corporation has a standard cost system in which it applies manufacturing overhead to products on the basis of standard machine-hours (mhs) at $9.70 per mh. the company had budgeted its fixed manufacturing overhead cost at $69,000 for the month. during the month, the actual total variable manufacturing overhead was $66,710 and the actual total fixed manufacturing overhead was $74,000. the actual level of activity for the period was 6,400 mhs. what was the total of the variable overhead rate and fixed manufacturing overhead budget variances for the month?

Total of the variable overhead rate and fixed manufacturing overhead budget variances for the month = $9,096 Unfavorable

Explanation:

Actual variable overhead rate = =

Therefore variance with the budgeted standard variable overhead

= (Standard Overhead rate - Actual overhead rate) Actual Hours

= ($9.70 - $10.34) 6,400 = -$4,096

And Fixed Overhead variance = Standard Fixed Overhead - Actual Fixed Overhead = $69,000 - $74,000 = -$5,000

Total of the variable overhead rate and fixed manufacturing overhead budget variances for the month = -$4,096 + -$5,000 = -$9,096

Since the value of variance is negative it means the expense both variable and fixed are over absorbed, which means it is unfavorable.

Total of the variable overhead rate and fixed manufacturing overhead budget variances for the month = $9,096 Unfavorable

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public property refers to the property that can be used by all legal citizens in a certain country. the public property was created and maintain using the government budget that allocated specifically for it. the budget itself come from the citizen's income tax payment.

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